The Standard & Poor's 500-stock index climbed 7.88 points, or 0.6%, to 1443.69. Financials led all 10 sectors in the S&P 500 higher with a 1.4% gain. The Nasdaq Composite Index added 6.02 points, or 0.2%, to 3050.39.

Third-quarter gross-domestic-product growth was revised to 3.1%, up from a previous reading of 2.7%. Second-quarter growth was 1.3%. The median estimate of economists surveyed by Dow Jones Newswires was for an upward revision to 2.8%.

Initial claims for unemployment benefits totaled 361,000 in the latest week, up from a revised 344,000 in the previous week, and in line with economists' expectations.

House Speaker John Boehner said he would try to push through the House of Representatives his "Plan B" to extend Bush-era tax cuts for those with incomes under $1 million, although President Barack Obama already has said he would reject that plan. The new plan is part of continued efforts to avoid the "fiscal cliff," a package of spending cuts and tax increases set to go into effect at the start of next year.

Solid economic data failed to inspire investors early on but a strong day for financial shares helped pull stocks into the black. Jonathan Cheng has details on The News Hub. Photo: Getty Images.

"The market's in a stalemate the way Washington is in a stalemate," said Andres Garcia-Amaya, global market strategist for the funds branch of J.P. Morgan Asset Management, which oversees $400 billion.

Sales of existing home for November rose 5.9% from October, more than twice the 2.3% increase expected by economists. The Philadelphia Federal Reserve Bank's December index of business activity surged to 8.1 from November's -10.7, more than the expected modest improvement to -2.1 . The Conference Board's Leading Economic Index for November declined 0.2%, as expected, and home prices showed a 0.5% increase in October.

"We had some good data, but a lot hangs on what happens with the cliff. It is really putting a damper on these numbers," said Peter Jankovskis, co-chief investment officer at Oakbrook Investments.

European markets held close to unchanged levels. The Stoxx Europe 600 rose 0.1%, as fading hopes for a U.S. budget deal and a flat reading on U.K. retail sales kept investors on the sidelines.

Asian markets were mostly higher, after the Bank of Japan announced new stimulus measures. China's Shanghai Composite gained 0.3% to a four-month high and Australia's S&P ASX 200 added 0.4% to a 1½-year high. But Japan's Nikkei Stock Average shed 1.2%; it had surged 11% over the last month in anticipation of more stimulus.

The Bank of Japan added another ¥10 trillion, or about $119 billion, to its asset-purchase program.

Front-month February crude-oil futures rose 0.2% to settle at $90.13 a barrel. December gold futures fell for a third straight day, finishing 1.3% lower at $1,644.90 an ounce. The dollar lost ground against the euro, but rose against the yen. Treasury prices rose slightly, with the 10-year yield climbing to 1.801%.

Rite AidRAD-0.56% leapt after the drugstore chain reported a fiscal third-quarter profit, its first quarterly profit in more than five years, citing an increase in front-end same-store sales and higher pharmacy gross margins.

AllscriptsMDRX0.42% tumbled after the health-care provider completed a strategic review and decided against a deal for the business, concluding its best course was to go with a new management team. Chief Executive Glen Tullman was replaced by board member Paul Black.

KB HomeKBH0.13% slumped after the home builder reported fiscal fourth-quarter earnings fell sharply from year-earlier levels as new order growth slowed, but still topped analyst estimates.

Bed Bath Beyond slid after the home-furnishings retailer reported fiscal third-quarter earnings that were slightly above estimates and announced a $2.5 billion stock buyback program, but provided a fourth-quarter earnings outlook that was below current analyst projections.

This copy is for your personal, non-commercial use only. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com.